America First Refining has unveiled plans to construct the first new oil refinery in the United States in half a century, a multi-billion-dollar project to be developed at the Port of Brownsville, Texas.
The refinery forms part of a record-breaking 20-year offtake agreement with an undisclosed global supermajor, representing what has been described as the largest energy transaction in US history.
Valued at an estimated $125 billion, the agreement covers the purchase and processing of 1.2 billion barrels of US light shale oil.
The project is expected to produce around 50 billion gallons of refined fuel products, including gasoline, diesel, and jet fuel, worth approximately US$175 billion over the course of the deal.
Designed to process around 60 million barrels of crude annually, the facility will rely entirely on American light shale oil, a feedstock known for its efficiency in refining compared with heavier imported grades.
The refinery is intended to enhance domestic energy independence by reducing reliance on foreign oil and strengthening national economic security. Construction is scheduled to begin in the second quarter of 2026.
Company chairman and founder John V. Calce described the initiative as a pivotal advancement for US energy and industry, emphasising that it marks the first new refining facility purpose-built for American shale production in five decades.
Calce credited the renewed America First energy agenda for creating the conditions necessary to attract large-scale investment and deliver a cleaner, more efficient generation of refining capacity.
According to America First Refining, the project could improve the U.S. trade balance by as much as US$300 billion by redirecting domestically produced crude for internal processing and use.
Its location at the Port of Brownsville (designated as an Economic Opportunity Zone) is expected to facilitate distribution to both local and export markets, offering economic benefits for South Texas through job creation and infrastructure growth.
US President Donald Trump characterised the investment as historic in a post on X, describing it as a demonstration of renewed American energy dominance.
He referenced support from international partners, including India’s largest privately held energy group, Reliance, which is believed to be a key investor.
The president said the initiative aligns with his administration’s efforts to streamline permitting and reduce taxes, drawing major capital influxes back to the US energy sector.
The refinery, backed by a nine-figure financial commitment from its unnamed partner and valued in the 10-figure range, will feature advanced environmental performance standards.
It is expected to deliver some of the lowest-emission fuels produced at a commercial scale in the country.
Industry analysts suggest the project could mark a turning point in American refining capacity, which has remained stagnant since the 1970s despite continued growth in shale oil production.
Between 2014 and 2024, the US. exported approximately 10 billion barrels of crude while importing around 28 billion, a pattern that increased costs to domestic consumers.
By retaining and refining a greater share of US crude domestically, the Brownsville facility seeks to enhance industrial resilience and energy security.
